Episode 167 Transcript: Jonathan Nawrocki
On this episode of The Brad and Taylor Show, we sat down with Jonathan Nawrocki from Luksus Properties!
To watch the full episode, check it out on YouTube below. In the meantime, here’s a transcript of the conversation…
Here’s what you missed from Jonathan Nawrocki…
00:00:00:13 –> 00:00:03:18
Taylor: Welcome to the Brad and Taylor Show. Today, we have Jonathan Nawrocki.
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Brad: You’re listening to the Brad and Taylor Show, a podcast that inspires entrepreneurs to pursue their passions. We’re sitting down with some of the best to learn how they got started and some lessons they learned along the way.
00:00:15:07 –> 00:00:16:16
Taylor: Hey Jonathan, how’s it going?
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Jonathan: Good. Good. Thanks for having me.
Taylor: Of course.
00:00:20:00 –> 00:00:23:04
Brad: Yeah. Well, let’s get this started. Tell us a little bit about you. What do you do?
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Jonathan: My name’s Jonathan Nawrocki, I’m from the Northwest Ohio area and I invest in real estate.
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Brad: Nice. So when you were younger, is this what you had planned for the future?
00:00:39:20 –> 00:01:04:27
Jonathan: Not really. I was a very artistic kid and actually my full-time job is a web design and development position. As far as real estate, no. My parents actually, my mom’s been an agent for 20 years and as a broker, so it kinda is in the family.
00:01:05:08 –> 00:01:09:23
Brad: Yeah, can’t complain there. That’s awesome. So when you said you do invest, when did you get your first property?
00:01:11:06 –> 00:01:15:21
Jonathan: Actually, just this year.
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Brad: Nice. Tell us about that. How’d that go?
00:01:17:21 –> 00:01:45:17
Jonathan: It was actually at the end of last year, but it really started making money with it this year. Truth be told, I actually got an FHA loan as a first-time home buyer and I lived there for a little bit, just fixing it up, doing some remodeling, and just making it really nice on the inside.
00:01:48:03 –> 00:01:52:22
Brad: That’s awesome. I like it. Is that your only property now or do you have newer ones again?
00:01:53:17 –> 00:01:58:22
Jonathan: So right now we have two properties that are bringing in revenue.
00:01:59:16 –> 00:02:03:05
Brad: Nice. That’s awesome. So you said you do web development too?
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Jonathan: Yep. Web design and development.
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Brad: Nice. How long have you been doing that?
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Jonathan: I’ve been in the industry since 2013.
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Brad: Is that when you went to school for?
00:02:15:27 –> 00:02:17:09
Jonathan: It is, yeah.
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Brad: Nice. That’s awesome.
00:02:18:29 –> 00:02:26:11
Taylor: You said you had family who’s also in real estate, so that’s probably a good person for you to call if you ever have any questions.
00:02:27:10 –> 00:02:32:17
Jonathan: Yeah. I have a lot of family in real estate and a lot of family in construction.
00:02:35:20 –> 00:02:40:00
Brad: You’re like, I got that figured out. Are you planning on getting a bunch more properties?
00:02:41:08 –> 00:02:54:10
Jonathan: Yeah. So I’ve been negotiating with a few different property owners. We can go into that whenever you guys want to.
00:02:56:09 –> 00:02:57:18
Brad: Yeah, we can go into it now if you want to. Tell us more about that.
00:02:58:01 –> 00:04:06:13
Jonathan: So my main real estate investing involves short-term rentals, so Airbnb, booking.com, and VRBO. That is, I’ve found, one of the better ways to get a higher return on your investment is just through short-term rentals. What I’ve recently come across is a really interesting strategy called rental arbitrage. For the people who don’t know about short-term rentals, you actually don’t need to own real estate to be involved in rental arbitrage, which is very attractive to a lot of people. So if you have a little bit of grit and sales experience or not, you can actually reach out to landowners or property owners and very carefully present your business opportunity and start making money and negotiating and partnering with property owners to list a property on.
00:04:06:27 –> 00:04:11:05
Taylor: Okay. I didn’t realize that you didn’t have to own them. That’s pretty cool.
00:04:12:04 –> 00:04:49:27
Jonathan: Yeah, as I said, it’s a very tricky negotiation. You don’t want to reach out to a landowner or property owner and say, “Hey, can I list your property on Airbnb?” There’s a little bit of tactfulness that is involved and a little bit of sales involved. I actually sold insurance for a year and that I really gained a little bit of knowledge from that and that helped out. But yeah, you don’t actually have to own real estate to start building revenue.
00:04:50:22 –> 00:05:00:06
Taylor: Yeah. And I think that’s a huge misconception too because I mean, I wasn’t aware of that. You didn’t have to own it. And I don’t think a lot of other people are either, so that’s pretty cool that there’s another option out there.
00:05:01:02 –> 00:05:38:16
Jonathan: It is interesting. A lot of people think that you need a ton of capital to really get started in real estate, which a lot of times traditionally it’s true. But with this, you’re able to actually scale your business very quickly. In a matter of months. You still need capital though, because there’s a lot of things that are involved like furniture, decorations, and paying. If it is like an apartment paying a deposit rent, a lot of those things can be negotiated in the deal.
00:05:40:01 –> 00:05:59:04
Taylor: So you’ve been into probably a handful or so more of the investment property. So you kind of know how they can be sometimes. What is the worst one you’ve been to? Is there one that sticks out or a situation in a home that you’ve been to for a showing or anything like that, that kind of maybe you wouldn’t want to go back to?
00:05:59:23 –> 00:06:29:06
Jonathan: Yeah. I actually thought about this. So I grew up with my mom being an agent and going to showings with her and tagging along as a kid. I actually remember her telling me one time, like to stay in the car and I was like, wow, this is kind of weird. She said I want you to call 9 1 1 if I don’t come back in five minutes.
00:06:29:12 –> 00:06:31:18
Taylor: Oh my goodness. How old were you when that happened?
00:06:31:29 –> 00:06:39:23
Jonathan: I was probably 12 years old, maybe. And I was like, wow, this is like, this is super sketchy.
00:06:39:26 –> 00:06:46:15
Taylor: Now that you’re in the business. Do you realize what she was doing then? Like the type of home she was at?
00:06:47:01 –> 00:07:08:21
Jonathan: What happened was, to begin with, it was in a rough neighborhood, the Toledo area. I don’t know if you’ve ever been there, but just like any city, there are rough areas and there were some squatters there and thankfully there wasn’t anything going on or you know, everything was fine.
00:07:08:21 –> 00:07:11:16
Taylor: You didn’t have to call 911?
00:07:11:16 –> 00:07:15:12
Jonathan: I never had to call 911, but I always remember that as a kid, I was like, whoa.
00:07:16:06 –> 00:07:17:18
Taylor: You probably won’t forget that one.
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Jonathan: No, I mean, everything is just like fun and games. When somebody says, if I don’t come back, you know, as a kid, I just really remember that. I was like, wow, that was serious.
00:07:30:02 –> 00:07:35:17
Taylor: Right. Yeah. What kind of goals do you want to accomplish finishing out this year and going into the next?
00:07:37:05 –> 00:08:19:28
Jonathan: I’m really looking to actually hire a coach, specifically to like the short-term rental space and I’m looking to possibly, in terms of revenue, I would like to be around the $300,000 mark per year. I think that’s really possible with just a little bit of guidance because I’ve kind of already got a handle on the business, I think in a pretty short time and a little bit of guidance, I think we could really make that happen.
00:08:20:23 –> 00:08:27:16
Brad: Yeah, that’s awesome. I like it. Are there any books that you’ve read that are some of your favorites?
00:08:28:21 –> 00:09:16:23
Jonathan: Yeah, I think the biggest one that stands out in terms of real estate and just entrepreneurship is the Rich Dad, Poor Dad, and the Cashflow Books because they’ve really shifted my mindset from buying assets instead of liabilities. I actually played the game that he has. It’s actually online and you could start acquiring these assets and then you get these liabilities. Of course, you will not acquire the assets. Now, I’m actually applying that. It’s a great book for anyone who’s interested in increasing their income.
00:09:17:08 –> 00:09:23:10
Taylor: Yeah. I know a lot of real estate agents who have recommended that book to us. So it’s definitely a popular one.
00:09:24:15 –> 00:09:30:04
Jonathan: Yeah. It’s definitely a very good, fundamental book on entrepreneurship.
00:09:30:17 –> 00:09:32:08
Brad: That’s awesome. How can people get a hold of you?
00:09:33:21 –> 00:10:01:05
Jonathan: Um, I’m pretty much everywhere but my personal Instagram is what I kind of use the most. That’s just a J O N N A W R O C K I. Jon Nawrocki, but my personal business website is just luksusproperties.com.
00:10:02:05 –> 00:10:04:24
Brad: Perfect. Awesome. Hey, thanks for coming on and sharing your story with us today.
00:10:05:21 –> 00:10:06:10
Jonathan: Absolutely.
00:10:09:23 –> 00:10:27:24
Hello. Hello. Are you there? Hey guys, we just wanted to thank you for listening on either a podcast or on the YouTube video here. If you guys wanted to subscribe, that would be awesome. That would mean a lot to us. If you guys could give us a five-star review as well, that would be amazing. And we’ll see you on the next one.
Check out Jonathan Nawrocki:
Luksus Properties
www.luksusproperties.com
Facebook: @luksusproperties
Instagram: @luksus.properties
Facebook: @jon.nawrocki.5
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